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Refunded emission payments and diffusion of NOx abatement technologies in Sweden

Jorge Bonilla Londoño, Jessica Coria, Kristina Mohlin and Thomas Sterner

Ecological Economics, 2015, vol. 116, issue C, 132-145

Abstract: This paper studies how different NOx abatement technologies have diffused under the Swedish system of refunded emission payments (REP) and analyzes the determinants of the time to adoption. The policy, under which the charge revenues are refunded back to the regulated firms in proportion to energy output, was explicitly designed to affect investment in NOx-reducing technologies. The main finding is that REP had a significant effect on the adoption of post-combustion technologies. Moreover, we also find some indications that the effects of REP have been enhanced by the existing system of individual emission standards. In particular, the effect of REP speeding up the pace of adoption of post-combustion technologies is considerably larger in those counties where stringent standards are in place.

Keywords: Technology diffusion; NOx abatement technologies; Environmental regulations; Refunded emission payments (search for similar items in EconPapers)
JEL-codes: H23 O33 O38 Q52 (search for similar items in EconPapers)
Date: 2015
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (15)

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Persistent link: https://EconPapers.repec.org/RePEc:eee:ecolec:v:116:y:2015:i:c:p:132-145

DOI: 10.1016/j.ecolecon.2015.03.030

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